Technical Analysis: GBPUSD

GBPUSD hit a one-month low

Last Friday, GBPUSD decreased for the fourth straight trading day and hit the lowest level since 8^th April.

UK GDP was higher than expected in the first quarter

UK GDP, y/y (Quarter 1) increased from 1% to 1.1% Vs. 0.8% (forecast), according to the data from the Office for National Statistics.

The USDX broke above the 99 mark

Last Friday, the USDX climbed for the 4^th straight trading day and broke above the 99 mark. It ended up 0.42% at 99.28.

The bearish market trend prevailed in the short term

the Chart of the Day

On the chart of the day, GBPUSD continued falling. The bearish market trend prevailed in the short term. In terms of technical indicators, KDJ went downwards after death cross occurred, showing that GBPUSD will fall further. Investors should focus on whether GBPUSD will break through the support at 1.327. It will decline with potential support at 1.316 if it breaks below 1.327.

4-hour chart

On the 4-hour chart, GBPUSD was prone to fluctuation and fell. The bearish market trend prevailed. In terms of technical indicators, MACD went downwards after death cross occurred, showing that the bearish market trend prevailed. Investors should focus on whether GBPUSD will break through the resistance at 1.334. It will fall if it rebounds but is capped at 1.334.

Key resistance: 1.334,1.339

Key support: 1.327,1.316

Generally speaking, the bearish market trend prevailed in the short term. Investors could sell as GBPUSD rebounds during the day.